Two major players in the wind power sector have agreed to form a joint venture which will focus on offshore wind projects for the European and Asian markets.
The two OEMs, Spain’s Gamesa and France’s Areva, announced this week that they have signed a binding agreement. The companies say they will form a 50/50 joint venture which will aim to gain a 20 per cent market share of Europe’s offshore wind market by 2020, as well as expanding into the Asian market.
The new co-operation will draw on both firms’ extensive experience. Gamesa will contribute €195m ($265m) in assets including its 5 MW offshore wind turbine, R&D and operations and maintenance experience, and supply chain access. Gamesa will also be the preferred parts supplier to the joint venture.
Areva will bring €280m in assets including its 5 MW and 8 MW offshore turbines; its 2.8 MW project pipeline in Germany, France and the UK; offshore R&D and engineering experience, and two dedicated manufacturing (blades) and logistics (turbine assembly) facilities in Germany.
The joint venture will also benefit from the recently won 1 GW pipeline in France’s offshore round 2, the companies said.
The new firm will be headquartered in Zamudio, Vizcaya, Spain, with its executive committee based in Paris. The transaction is expected to close by the fourth quarter of this year, subject to French government approval.